Consumers Shopping Smarter
December 7, 2007
2007 may be the year that American consumers actually bring in some good cheer with the New Year, at least as far as their holiday shopping goes. Unlike many past years when consumers could not wait to charge their purchases on their high-interest credit card, this year they seem to be using cash far more frequently.
In addition to spending less through credit, many consumers are also planning well ahead on how to pay off those purchases that they do put on their credit cards. According to a recent survey, over seventy-eight percent of those using credit cards this holiday season are planning to pay off the debt within three months. Now, whether they actually do this or not is yet to be seen.
Another somewhat surprising finding is that more than half of those shopping for gifts are making a budget and sticking to it this year.
“I am thrilled that the majority of Americans are thinking ahead about promptly paying off their holiday spending,” said Steve Bartlett, President and CEO of The Financial Services Roundtable. “For many Americans the holidays can be a stressful time financially. It is good to see that consumers are really planning when making their yearly budgets and factoring in holiday spending and travel. This approach is essential for financial fitness.”